Array Digital Infrastructure, I

What they do

Array operates wireless communications towers, earning site rental revenues from tenants, and is divesting its remaining wireless spectrum licenses. The company previously operated consumer wireless networks under U.S. Cellular branding, which were sold to T-Mobile on August 1, 2025. Array holds a 5.5% limited partnership interest in the Los Angeles SMSA Limited Partnership, accounted for by the equity method. It is headquartered in Chicago and trades on the NYSE under AD (common) and UZD/UZE/UZF (senior notes).

Revenue drivers

• Site rental revenues (tower operations) — Revenue from leasing tower space to wireless carriers; grew 95% year over year in Q2 2026 and is the primary ongoing business.
• Spectrum sales — One-time proceeds from selling wireless spectrum licenses to T-Mobile and others; closed $74.8M of 700 MHz licenses in May 2026, $86.4M of 600 MHz licenses in May 2026, and $1B of cellular and other licenses in June 2026.
• Equity method income from LA Partnership — 5.5% limited partnership interest in the Los Angeles SMSA Limited Partnership; equity method income contributes to net income but is not a major revenue line.
• DISH Wireless lease revenue (discontinued) — Previously a tenant, but Array stopped recognizing revenue from DISH in Q1 2026 after DISH claimed its lease obligations were excused; DISH filed for bankruptcy in June 2026.

Recent performance

For Q2 2026, Array reported total operating revenues from continuing operations of $54.1 million versus $28.5 million in Q2 2025. Net income attributable to shareholders was $333.8 million, or $3.86 per diluted share, up from $14.8 million and $0.17 a year earlier, largely due to spectrum sale gains. Site rental revenues grew 95% year over year, with sequential tower tenancy growth. Full-year 2025 revenue was $163.0 million and net income was $69.2 million, reflecting the August 2025 sale of wireless operations. The company issued a special dividend of $11 per common share on June 25, 2026.

Strategy

Array is optimizing tower operations, as evidenced by sequential tower tenancy growth, and continues to monetize remaining spectrum assets. It is supporting T-Mobile's integration following the August 2025 sale of wireless operations. The company updated 2026 guidance to reflect higher interim site revenue. On May 7, 2026, TDS delivered a non-binding proposal to acquire all outstanding Array Common Shares not owned by TDS, and a special committee is evaluating it.

Risks

• Tenant concentration and DISH bankruptcy — DISH Wireless, a tenant, filed for bankruptcy in June 2026 and Array stopped recognizing revenue from DISH in Q1 2026; loss of tenants could reduce site rental revenues.
• Spectrum sale execution — Remaining spectrum sales, including approximately $30 million of 600 MHz and 700 MHz licenses, are subject to regulatory approval and closing conditions and may not close as expected.
• TDS acquisition proposal uncertainty — TDS's non-binding proposal to acquire Array shares it does not own creates uncertainty about future ownership and strategic direction.
• Reduced scale after wireless sale — Following the sale of wireless operations, Array's revenue base is much smaller (2025 revenue $163.0M vs. $3.67B in 2024), which may increase volatility and limit financial flexibility.

Outlook

Management narrowed 2026 revenue guidance to $205-$215 million, increased Adjusted EBITDA guidance to $220-$235 million, and kept capital expenditures at $25-$35 million. Array expects to close remaining spectrum sales in 2026, subject to regulatory approval. The company continues to focus on tower tenancy growth and supporting T-Mobile's integration.